The government is increasingly looking beyond gross domestic product (GDP) to assess the success of economic policies and ensure that growth translates into tangible improvements in citizens’ lives, according to the Ministry of Economy.
The announcement was made during a parliamentary session today in response to a question from Bachok MP Mohd Syahir Che Sulaiman on whether the Government plans to reconsider GDP as the primary measure of economic success and what alternative indicators are used to track public well-being.
The ministry explained that Malaysia uses the Malaysia Well-Being Index (MyWI), a composite index introduced in 2013 and derived from the earlier Quality of Life Index.
The index covers three subcategories: Economic, Social, and Environmental, reflecting the Government’s holistic approach to sustainable development.
The Economic subcategory includes 19 indicators such as per capita GDP, income distribution, internet access, and working hours exceeding 45 per week.
The Social subcategory tracks participation in community organisations, household debt, and divorce rates, among 59 other indicators.
The Environment subcategory, introduced in 2024, monitors sustainability through six indicators including air and river water quality.
According to the latest MyWI 2024 report, published at the end of 2025, Malaysia’s overall index has improved by 20.6 points since 2000, with Economic (+28.8 points), Social (+21.8 points) and Environmental (+5.9 points) dimensions all contributing to better citizen welfare.
The findings underscore that long-term development has focused primarily on economic and social aspects while integrating environmental sustainability.
The ministry also highlighted that MyWI has been published at the state level since 2023 and encourages state governments to adopt it as a planning tool, providing a more comprehensive framework for socio-economic policy than GDP alone.
